Aust royal commission clears Gillard

An Australian royal commission on trade unions has cleared former prime minister Julia Gillard of criminal conduct in her former role as a legal adviser to the Australian Workers Union in the early 1990s.

The Royal Commission into Trade Union Governance and Corruption has, however, recommended the prosecution of two former union officials - Bruce Wilson and Ralph Blewitt.

It said they ran a slush fund, the sole purpose of which was to receive money fraudulently from a Perth construction company, Thiess Contractors.

The commission said Ms Gillard committed no crime when she provided legal advice, nor was she aware of any criminal behaviour by the officials.

However, it described her professional conduct as "questionable", the ABC reports.

It noted that Ms Gillard was the beneficiary or recipient of certain funds from her former boyfriend Mr Wilson, but did not link that benefit to the slush fund.